HSBC Malta Posts €109m Profit as Strong Capital Position Fuels Shareholder Returns

HSBC Bank Malta p.l.c. has reported pre tax profits of €109 million for 2025, marking the third consecutive year it has exceeded the €100 million threshold despite a more challenging interest rate environment.

The result reflects a 29 percent decline from 2024, largely due to lower interest rates and reduced releases of expected credit losses. However, the bank said underlying revenue growth remained solid, supported by increased customer activity and business diversification.

Customer confidence drove deposits up by €370 million to a record €6.5 billion, with market share rising by more than one percent. Wealth management and investment balances climbed 28 percent to €1.1 billion, while life insurance sales rose 21 percent. New retail lending increased by 10 percent during the year.

Profit after tax attributable to shareholders stood at €71.6 million, with earnings per share of 19.9 cents.

Reflecting its strong capital and liquidity position, the board has recommended a final gross dividend of 8.4 cents per share, bringing the total dividend for 2025 to 18.4 cents per share and representing a 60 percent payout ratio. The bank’s total capital ratio exceeded 27 percent, while its liquidity coverage ratio remained above 500 percent, placing it among the most strongly capitalised banks in Malta and Europe.

Chief Executive Geoffrey Fichte said the performance demonstrated the resilience of the bank’s diversified model and disciplined execution. He added that the group enters 2026 “from a position of strength and momentum,” supported by continued investment in digital infrastructure and customer services.